First Phase of Drilling Completed at Nambija

TSX Venture Exchange

Symbol: CDA

Shares Outstanding: 43,004,598

TORONTO, July 7 /CNW/ - Canuc Resources Corporation ("Canuc" or the "Company")TSXV: CDA is pleased to report that the first phase of drilling has been completed on the Nambija project in southeastern Ecuador. Twelve drill holes totaling 2428 meters were completed with the primary focus being both underground and surface gold occurrences along the eastern most "El Tierrero" trend. Of the eight drill holes collared along this structure, seven were successful, intersecting skarn, the principal host rock for the gold and other mineralization, over significant widths while one tested a newly found copper occurrence lower in the stratigraphy. In the western portion of the property, two drill holes were collared to test the "El Arco" structure which hosts the GoldStar mine approximately 400 meters to the south. The remaining 2 drill holes were located in the Nambija valley with one intersecting substantial skarn over significant widths. All four drill holes intersected skarn mineralization.

The logging and splitting of the drill core continues and to date, a total of 1000 samples have been submitted to Acme Analytical Laboratories in Cuenca, Ecuador for preparation with final analysis conducted at Acme's facility in Vancouver, British Columbia. Fourteen samples of drill core have also been submitted to Laurentian University for petrographic analysis in order to better characterize the host rocks and zones of mineralization.

The results for the first 2 drill holes have been returned and are summarized below.

    
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     Drill                                                       Grams gold /
    Hole No.       From (m.)        To (m.)        Width (m.)       tonne
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    -------------------------------------------------------------------------
    N10 - 001        0.00            25.90            25.90         2.07
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    including       22.86            25.90             3.04          8.0
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    -------------------------------------------------------------------------
    N10 - 002        0.00            11.66            11.66         3.30
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    including        4.57            11.66             7.09         4.19
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    and              4.57             5.57              1.0         9.56
    -------------------------------------------------------------------------
    

In both drill holes, the host is a silicified skarn, typical of that found in the El Tierrero trend where much visible gold has been noted particularly in areas associated with iron alteration.

The exploration program at Nambija is being carried out under the supervision of Gary Lohman, P. Geo., a Qualified Person as defined under the terms of National Instrument 43-101, and he has reviewed and approved the contents of this press release.

About Canuc

Canuc is a junior mining exploration company with its principal properties located in Ecuador. Canuc's main holding today is an approximate 85% interest in the Nambija Gold Mine located in southeastern Ecuador. According to records obtained from the Central Bank of Ecuador, it is estimated that, to date, nearly 3 million ounces of gold have been produced using the most primitive of mining and milling recovery processes in the Nambija area.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this release.

For further information: Ken Murton, Chairman, 416-920-2748, [email protected]; Hub Mockler, President & CEO, 416-867-1300, [email protected]; Investor Cubed Inc.: Neil Simon, Telephone: [phone], Fax: [phone], E-mail: [email protected]